Question
Wenatchee is the apple capital of the world. One of the many great things about apples is that the firms who produce it are likely
Wenatchee is the apple capital of the world. One of the many great things about apples is that the firms who produce it are likely price takers in both input and output markets.
Imagine that there is a hurricane in Florida which damages a large part of the orange crop which is typically grown there.
1. Show the effect of this in the orange market.
2. Show the effect of this in the apple market. (Assume that no apples are grown in Florida.)
3. Show the effect of this in the market for orchard workers in Wenatchee (the apple capital of the world).Please make sure to label the axes appropriately for a labor market.Brieflyexplain the reason for what you draw here in relation to the other parts.Wenatchee is in Washington which is a long way from Florida so assume that workers don't move from one place to the other.
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